I am here to ask a question about the usage of the compensation amount which someone gets if his/her child expires in an accident while on job. One of our neighbours who was a labourers in Delhi Metro Corporation, died due to an accident on site. Four others got injured. The concerned company paid compensation amount to the parent of the deceased labourer. After receiving that amount, his mother donated a certain amount to mosque in her area. My question is: can this amount be used for anything related to mosque, since we all know that compensation amounts are normally paid from the insurance funds to which a company registers his labourers. Moreover, I would also like to know, if it is permissible in Islam to receive compensation amount for the accidental death?

Answered according to Hanafi Fiqh by Darulifta-Deoband.com
Prev Question
Next Question

بسم الله الرحمن الرحيم

(Fatwa: 1170/761/L=9/1434)

In the above mentioned case of death in accident, it is correct to take compensation from the company. If all the heirs of the deceased person give some amount from this amount to the mosque then it is allowed to take it and use for the mosque. As this amount is like diyat (blood money) in which the all the heirs have their rights and this amount shall be distributed among all the heirs as per their shares.

Allah knows Best!

Darul Ifta,
Darul Uloom Deoband

This answer was collected from the official ifta website of Darul Uloom Deoband in India.